Coca-Cola reported fourth quarter and full-year 2014 results

MOSCOW (MRC) -- The Coca-Cola Company reported fourth quarter and full-year 2014 operating results, said the company in its press release.

Comparable currency neutral net revenues (structurally adjusted) grew 4% in the quarter driven by positive price/mix and the impact of one additional selling day. We delivered favorable price/mix of 2 points, after adjusting for items impacting comparability, primarily attributable to 4 points of positive price/mix in North America driven by our continued rational approach to pricing and supported by incremental media investments and improving
commercial execution.

Comparable currency neutral operating income (structurally adjusted) grew 7% in the quarter driven by comparable currency neutral net revenue (structurally adjusted) growth, a slight benefit from commodity costs and efficient management of operating expenses, partially offset by continued investments in our brands including a double-digit increase in media investments. Fluctuations in foreign currency exchange rates resulted in a 7 point headwind
on comparable operating income growth during the quarter.

The reported effective tax rates for the quarter and full year were 28.3% and 23.6%, respectively. The underlying annual effective tax rate was 22.5% for the quarter and full year. The variance between the reported rates and the underlying rate was due to the tax effect of various items impacting comparability, separately disclosed in the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. The underlying effective tax rate does
not reflect the impact of significant or unusual items and discrete events, which, if and when they occur, are separately recognized in the appropriate period.

Reported EPS was USD0.17 and comparable EPS was USD0.44 for the quarter. Items impacting comparability reduced reported EPS by a net USD0.27 and were primarily related to the impact of changing the exchange rate used to remeasure our Venezuelan subsidiary’s net monetary assets into U.S. dollars, a write-down on concentrate sales receivables from our bottling partner in Venezuela, noncash charges related to refranchising certain territories in North America and costs associated with our previously announced productivity program. Foreign currency was a 10 point headwind on comparable EPS growth during the quarter.

Full-year cash from operations was USD10.6 billion, up 1%, primarily due to the efficient management of working capital and cycling incremental pension contributions last year, partially offset by an unfavorable impact from foreign currency exchange rate fluctuations and the deconsolidation of the Company’s Brazilian bottling operations in July 2013. Full-year net share repurchases totaled USD2.6 billion.

As MRC wrote before, Coca-Cola Enterprises will invest EUR6.5 million in its joint venture with PET recycler APPE to expand a recycling facility in Beaune, France. According to Coca-Cola, the investment will boost the capacity of the plastics reprocessing facility by 70% and enable it to recycle 20,000 additional tonnes of plastic into food-grade packaging per year.
MRC

MOSCOW (MRC) -- Asahi Kasei’s net income increased 33.7% year-over-year (y/y) to JPY88.4 billion (USD736.5 million, 31 December 2014) in the first nine months of the current financial year (FY) 2014/15 ended 31 December 2014, according to a press release by the company.

Its net sales for April to December 2014 were up by 5.8% year on year to Y1,470bn, with operating income up by 8.1% at Y119bn.

Its chemicals and fibres business posted an 18.4% year-on-year increase in operating income to Y47.2bn for the period, backed by a 5.8% increase in sales to Y728.3bn.

"In petrochemicals, market prices declined for styrene monomer, while market prices improved for acrylonitrile, and the positive effects of strengthening of petrochemical operations in Japan contributed to performance," Asahi Kasei said.

As MRC wrote before, Asahi Kasei Chemicals developed AZP as a new optical polymer featuring zero birefringence achieved through novel molecular design. Manufacturing facilities for AZP will be constructed at the company’s Chiba Plant (Sodegaura, Chiba, Japan), with start-up scheduled in 2015.

Asahi Kasei Corporation is a global Japanese chemical company. Its main products are chemicals and materials science. It was founded in May 1931, using the paid in capital of Nobeoka Ammonia Fiber Co., Ltd, a Nobeoka, Miyazaki based producer of ammonia, nitric acid, and other chemicals. Now headquartered in Tokyo, with offices and plants across Japan, as well as China, Singapore, Thailand, U.S.A. and Germany.
MRC

MOSCOW (MRC) -- Zhejiang Yisheng Petrochemical Co. is likely to shut a purified terephthalic acid (PTA) plant for maintenance turnaround, as per Apic-online.

A Polymerupdate source in China informed that the plant is likely to be shut on February 15 for maintenance turnaround. It is likely to remain off-stream for around one month.

Located in Ningbo, China, the plant has a production capacity of 1.8 million mt/year.

As MRC informed previously, China’s polyester maker Tongkun is in plans to start a new PTA plant in 2017. To be located at Zhapu in Zhejiang province, China, the plant will have a production capacity of 1.5 million mt/year.

Besides, BP Zhuhai Chemical has deferred the startup of its new PTA plant until 2015. It was earlier scheduled to start in Q4, 2014. The reason for the delayed startup has been attributed to weak margins for PTA. Recently, BP Zhuhai Chemical has unveiled its plans to start the new PTA in March 2015. ocated in Zhuhai, China, the plant has a production capacity of 1.25 million mt/year.
MRC

MOSCOW (MRC) -- Williams Partners L.P. has announced its expanded Geismar, Louisiana olefins plant has begun manufacturing ethylene for sale, as per the company's press release.

"This is a significant milestone achievement in our effort to restore reliable operations at our plant for the benefit of our customers, employees, contractors and the community," said John Dearborn, Williams’ senior vice president of NGL & Petchem Services.

The commissioning effort culminates the plant’s rebuild and expansion project.

"I want to once again recognize our Geismar team for their dedication and perseverance throughout this complex rebuild and expansion effort," Dearborn said. "We will now turn our efforts to reaching full production rates on the base plant and shortly thereafter ramping up the plant to the expanded production capacity of 1.95 billion pounds of ethylene per year."

Williams Partners’ share of the total capacity of the expanded plant will be approximately 1.7 billion pounds per year. Williams owns controlling interest in and is the general partner of Williams Partners.

"We look forward now to rebuilding our reputation as a safe and reliable supplier of olefins," Dearborn said.

As MRC wrote before, in late November 2014, Williams Olefins extended its October ethylene force majeure allocation at its Geismar, Louisiana plant, keeping its sales allocation for November at 0%.

Williams, headquartered in Tulsa, Okla., is one of the leading energy infrastructure companies in North America. It owns controlling interests in both Williams Partners L.P. and Access Midstream Partners, L.P. through its ownership of 100% of the general partner of each partnership. Additionally, Williams owns approximately 66% and 50% of the limited partner units of Williams Partners L.P. and Access Midstream Partners, L.P., respectively. On June 15, 2014 Williams proposed the merger of Williams Partners and Access Midstream Partners. The proposed merger has been approved by boards of each partnership and is expected to close in early 2015.
MRC

MOSCOW (MRC) -- Chevron's downstream earnings of USD1.52 billion in the 2014 fourth quarter were up almost fourfold from the USD390 million posted in the final three months of 2013, the company reported.

US downstream operations at Chevron earned USD889 million in the fourth quarter of 2014 compared with USD265 million a year earlier. The increase was mainly due to higher gains on asset sales compared to the year-ago period, according to the company. Higher margins on refined product sales also contributed to the increase.

Refinery crude oil input of 927,000 bpd in the fourth quarter of 2014 increased by 56,000 bpd from the year-ago period. The increase was primarily due to lower 2014 downtime at refineries in Pascagoula, Mississippi and Richmond, California.

Refined product sales of 1.23 million bpd were up 9,000 bpd from the fourth quarter of 2013, mainly reflecting higher gasoline sales. Branded gasoline sales of 509,000 bpd were down 1% from the 2013 period.

International downstream operations earned USD629 million in fourth quarter of 2014 compared with USD125 million a year earlier. The increase was mainly due to a favorable change in effects on derivative instruments and higher margins on refined product sales.

This increase was partially offset by certain one-time employee benefits expenses in the current period. Foreign currency effects decreased earnings by USD21 million in the 2014 quarter, compared with a decrease of USD96 million a year earlier.

Refinery crude oil input of 822,000 bpd in the fourth quarter of 2014 decreased 56,000 bpd from the year-ago period, primarily due to the conversion of an affiliate refinery into animport terminal in Kurnell, Australia.

Total refined product sales of 1.55 million bpd in the 2014 fourth quarter were down 9,000 bpd from the year-ago period, mainly due to lower residual fuel oil sales. Overall, Chevron's quarterly profit dropped to the lowest since 2009 as collapsing global crude markets hurt upstream operations.

As MRC wrote before, Chevron Phillips Chemical (CPChem) received approval from its board of directors and obtained an environmental permit from the Texas Commission on Environmental Quality (TCEQ) to expand normal alpha olefins (NAO) production capacity at its Cedar Bayou plant in Baytown, Texas.

Chevron Phillips Chemica, headquartered in The Woodlands, Texas (north of Houston), US,l is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, piping, and proprietary plastics. Chevron and Phillips 66 each own 50% of Chevron Phillips Chemical.
MRC